Different types of accounts give you different kinds of services and advantages. You have to pay a small amount of money as cash deposit charges in some types of current accounts. There might be a cash deposit limit per day as the rules governing transactions are getting tighter. A cash deposit limit is the maximum amount of money you can deposit in a bank account in one day.
If you fail to do so, the expenses paid in cash will not be eligible for tax deduction. There is one exception to this rule where you can pay up to Rs 35,000 to a transporter in a day without attracting the disallowance. A money order allows the recipient to receive immediate cash payment from a bank or other financial institution. For that reason, money orders are a popular way to make small to medium-size payments in circumstances where cash or personal checks aren’t practical. Unlike cash, lost money orders can be replaced (with a receipt presented), and they can’t bounce due to insufficient funds.
A payer, when making a payment to an individual, is often required to deduct a certain amount from said payment as per the law stated in Section 194N of the Income Tax Act of 1961. Generally, this deduction does not touch an outrageous amount; it could go up to 2% of the total cash withdrawal from banks. However, in case of shirking any regulations set by the government, the deduction rate could go up to 5% with a decrease in the threshold of cash withdrawal limit as well. Likewise you cannot receive any gift beyond Rs 2 lakh in cash even in cases where the gifts are not treated as your income such as gifts received at the time of your marriage or from specified relatives. In case you receive payment in contravention of the above provision, the income tax officer can levy a penalty equal to the amount of money accepted in cash. read more here https://saypaytechnologies.com/.
Postal Service charges $1.75 for money orders of up to $500, and $2.40 for orders from $500.01 up to $1,000. Fees are lower for money orders issued in military postal facilities. A money order is harder to trace than a check, so keep your receipt until you are sure the order has been received and cashed.
If you need to purchase multiple money orders to get around the limit, you may be better off getting one cashier’s check for the full amount. If you’re buying several money orders because you’re paying different bills, then multiple money orders should be less expensive than getting several cashier’s checks. Cashier’s checks are generally considered more secure than money orders.